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Amkor Technology (AMKR) Falls More Steeply Than Broader Market: What Investors Need to Know

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Amkor Technology (AMKR - Free Report) closed at $29.75 in the latest trading session, marking a -2.68% move from the prior day. The stock trailed the S&P 500, which registered a daily loss of 0.38%. Meanwhile, the Dow lost 0.2%, and the Nasdaq, a tech-heavy index, lost 0.67%.

Shares of the chip packaging and test services provider have appreciated by 23.12% over the course of the past month, outperforming the Computer and Technology sector's gain of 7.44%, and the S&P 500's gain of 4.06%.

The investment community will be closely monitoring the performance of Amkor Technology in its forthcoming earnings report. In that report, analysts expect Amkor Technology to post earnings of $0.42 per share. This would mark a year-over-year decline of 14.29%. Simultaneously, our latest consensus estimate expects the revenue to be $1.93 billion, showing a 3.61% escalation compared to the year-ago quarter.

AMKR's full-year Zacks Consensus Estimates are calling for earnings of $1.1 per share and revenue of $6.44 billion. These results would represent year-over-year changes of -23.08% and +2.01%, respectively.

Any recent changes to analyst estimates for Amkor Technology should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. Amkor Technology currently has a Zacks Rank of #3 (Hold).

Looking at its valuation, Amkor Technology is holding a Forward P/E ratio of 27.92. This denotes a discount relative to the industry average Forward P/E of 40.47.

The Electronics - Semiconductors industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 157, this industry ranks in the bottom 37% of all industries, numbering over 250.

The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.


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